The USDA loan program offers home loans for low-income borrowers who plan to purchase a home in a rural area. There is no required down payment under this program. USDA loans are made for borrowers with either no credit history or a mediocre credit score. The home that is purchased under this program must be a primary residence that is located in a population area with less than 20,000 people. The combination of the borrower’s mortgage principle, taxes, insurance and interest must not be higher than 29% of the borrower’s monthly income. There are also maximum income requirements that vary by region.